Amid the public’s clamor to bring down the high power costs in Cebu, the Visayan Electric Co. Inc. (VECO), the biggest power distributor here, cited key factors that drive the seemingly high electricity bills of consumers.

VECO president and chief operating officer Raul Lucero said that aside from the scorching weather, another factor that could explain customers’ higher electricity bills since March would be the increase in generation charges due to the increase in fuel (coal and bunker) prices and higher prices of electricity at the Wholesale Electricity Spot Market (WESM).

“We have to emphasize that the increase is not reflected in Visayan Electric’s distribution rate, but in the generation charges, which goes to the power generators,” Lucero said in a statement Wednesday.

Lucero underscored the power distributor’s assurance to its customers that it is keen on fulfilling its promise of reducing power rates in Cebu, initiating a competitive selection process as it seeks to renegotiate contracts with some of its power suppliers.

Visayan Electric has urged its customers to put more conscious effort into managing their power usage, especially during the summer months when they may experience a spike in their electric bills.

“March, April, and May are considered the hottest months of the year in the Philippines, which is a period when cooling appliances such as air conditioners and electric fans work harder and longer, leading to greater electricity consumption,” Lucero said.

The Cebu Chamber of Commerce and Industry (CCCI) has been leading calls to bring down the high power rates in Cebu.

The business group has already sought the intervention of the Energy Regulatory Commission (ERC) to review Visayan Electric’s power supply agreement (PSA) with its generation company Cebu Private Power Corp. (CPPC) in 2013.

The power regulator had started its probe on the power firm’s PSA with CPPC.

CCCI president Felix Taguiam earlier said the findings of the chamber’s study indicate substantive grounds for anti-competitive behavior in the said agreement and that its implementation is contrary to the requirement in the Electric Power Industry Reform Act (EPIRA) that distribution utilities should supply electricity at the least cost.

Until it sees rates competitive with other power distributors Mactan Electric Co. and Manila Electric Co. (Meralco), CCCI said it will continue its advocacy and push for reasonable power rates for Cebuanos.

Cebu’s electricity has always been one of the most expensive power rates in the country.

“Identifying electricity as a major cost driver and as one of the top obstacles in the ease and cost of doing business, the CCCI has been a staunch advocate for reasonable and lower power rates in Cebu since 2019,” CCCI said.

Power saving measures

Amid the high electricity costs, Visayan Electric advised consumers to adopt some basic saving practices, such as unplugging appliances when not in use and turning off lights when not needed.

Certain devices consume “phantom load”, or the electricity used up by plugged-in appliances even when turned off or on standby mode.

During the daytime, the utility also recommends opening curtains or using light-colored drapes to allow natural light to seep through the rooms.

“Other tips that consumers may find useful include checking their air-conditioning unit. The right air conditioner should be used for the right room size. A low-horsepower unit in a big room will have to work double-time to get its job done. The thermostat should also be set to an ideal level,” Visayan Electric said.

The less the difference between the outdoor temperature and the indoor temperature, the less energy is consumed by the unit. It is also best to ensure the unit is cleaned regularly and maintained properly. A dirty unit will consume more energy than a clean one.

When using electric fans, customers should make sure the appliance is properly maintained and cleaned. Placing the electric fan near a door or window will allow proper air circulation and will help improve the fan’s cooling effect.

The oscillator should be locked when the fan is needed in one direction only. This way, the air is blown directly to where it is needed.

As for refrigerators, these should be placed in the coolest part of the room. The best location is usually the northern part of the area, away from the morning and afternoon sun.

These appliances should be regularly defrosted as frost acts as an insulating blanket, causing the refrigerator motor to work overtime.

Customers should also remove store wrappings from food before putting them inside as paper and similar materials can act as insulators as well.